Alcohol is one of those things that people are very aware of the price, like other stable goods (milk, bread). Supermarkets are very aware that they have to be competitive on price for these staples, sometimes even pricing them below their input cost because they know that people will compare the prices of staple goods that they buy every time.

Hence, supermarkets are locked in a race to the bottom on alcohol pricing by the market which it is impossible for them to get out of.

The costs of heavy drinking to the country are very large: alcohol is a poison (don't deny it!), causing both prompt costs (injuries etc) and long term damage (heart, liver, diabetes etc etc) all of which is very expensive to treat.

Putting a minimum cost on units of alcohol raises the cost of private heavy drinking, whilst barely affecting social drinking.

Isn't it a fundamental tenet of economics that the best outcomes occur when the price of a good fully reflects it's costs?

All councillors (so I presume MP's too) in all parties and of all stripes buy into this idea we're all going to hell in a handcart from booze.

They all have massive cross-department 'harm reduction strategies' where council managers plot new ways to waste your money.

Here, we have a 9 strong 'street drinkers' team, and a maximum-ever population of 80 street drinkers. There are whole zones where no shop can sell beer or cider over 6% - because up to 80 people who are just really visitors drink too much.

Other councils have similar teams, and they dish out rail warrants and arrange hostel accomodation for the street drinkers when they fancy moving onto their next stop.

Phil, if you want to make it more expensive to buy alcohol then by all means raise the duty on it.

Personally I think these supermarket boozes bargains are a complete myth. I have never seen these hilariously cheap offers that the media are so keen on reporting. I use a very down-at-heel Tesco so I would think that would have the offers but it doesn't. Where are they? Or are they a classic moral panic?

As CU points out there isn't even a problem with drinking. Drinking has been falling for 100 years.

There is a problem with town centre anti-social behaviour. Let's deal with that with proper law enforcement.

There is a tiny problem of "real" alcoholics but they are not going to be affected by this policy. Alcoholism is a health issue not a market intervention issue.

Instead of dealing with the underlying problems the last government and this government egged on by puritanical campaigners pretending to be interested in health issues have hit upon this as "something".

1. We have adequate laws to deal with the problem areas. If the licensing act was enforced there wouldn't be a problem.

2. Supermarket alcohol in the UK is very expensive. (Goto France, Netherlands, etc to find out how expensive)

3. Alcohol is only harmful if it is consumed to excess. Alcoholics die very early in life and save the NHS money overall. Healthy people cost the NHS a fortune in their last 10yr of life.

4. Consumption tax is disproportionately unfair the lower the drinkers income is. If the drinker is moderately well off the increase in tax is irrelevant.

5. High tax on alcohol is just prohibition in another name. More overall harm will be caused by cheap illegal booze. Both to the consumer & society as gangs get an extra revenue stream.

7. Alcohol is legal to make (as long as its not distilled). It is very easy to make (to taste good takes more care). Home brewing is making a major comeback.

8. Home distillation, whilst kind of illegal (HMRC wants the tax), is very easy to-do and is very dangerous. I can go into any town in the UK and buy a distillation unit (and over the internet obviously). Only if you want to produce large volumes of spirits do you need to actually build a still.

9. IMHO this is ONLY to raise revenue for the government. The politicians think it will be acceptable to the voters because there is a perception that alcohol is a much greater problem than it really is.

Well Gideon could say that from hence forth any alcohol induced illness after due written warning will not be treated on the NHS think of the money saved, police trying to control drunken youths (male and female) and time doctors spend in hospitals dealing with drunks, that would save a few millions.

I don't have strong feelings on this one btw, but I don't recall the supermarkets campaigning for minimum alcohol prices. Have I missed something?

As I said earlier, I suspect (but don't have proof) that the supermarkets are trapped in a mutual race to the bottom on cheap alcohol pricing. It's a treadmill they'd probably be quite happy to get off, but I doubt it'll will affect their bottom line much.